FORMER Chancellor Kenneth Clarke today attacked the European single currency and boosted his chances of becoming Tory leader.

He surprised many MPs by suggesting the euro was a political and economic failure and declaring that the European Constitutional Treaty was dead.

The comments from the strongly pro-Europe Mr Clarke could smooth the way for his third bid to be Tory leader, replacing Michael Howard.

In the past, his strong support for Europe, and the euro, had been seen as the biggest obstacle standing in the way of him leading a party which is euro sceptic. The current favourites to replace Mr Howard are home affairs spokesman David Davis and education spokesman David Cameron.

Dream ticket

It has been suggested that Mr Cameron could join forces with Mr Clarke as part of a "dream ticket", but friends of the young Tory today rejected the idea.

Mr Clarke was formerly a passionate supporter of the single currency, but in an interview he suggested it would be at least 10 years before Britain could contemplate scrapping the pound.

Asked about the prospects for British membership of the single currency, Mr Clarke said: "At the moment, politically, it has gone into the middle distance. I don't think there has been a time when the British could have joined with complete security and confidence.

"I doubt it is possible for 10 years or more."

The former chancellor also agreed that the proposed constitution was effectively dead, following its rejection by the French and the Dutch, in separate referendums.

Wellbeing

"There is no way of rescuing the treaty, although I was in favour, and the sooner we can make a reality of economic reforms in terms that are seen by the public as contributing to their economic wellbeing, the better," said Mr Clarke.

Her has previously put himself forward for leader, fighting William Hague and Iain Duncan Smith. Although he was a favourite of Tory grass roots supporters, he failed to win the backing of Tory MPs.

His supporters hope that his criticisms of the single currency will help kick start his leadership campaign by reassuring both MPs and party activists that he would not reopen the old civil war over Europe which caused so much damage to the Conservatives, and to former Prime Minister John Major, in the 1990s.